JPY

It’s been a busy and messy week across global macro markets. The push points behind the tumult are parsed through in this piece.

AUD/JPY and EUR/JPY are sandwiched between range highs and uptrend support, meaning traders should be on alert for potential bearish and bullish breakout this week with big event risk in the United States and Europe approaching fast.

A historic day for Japanese markets with the Bank of Japan (BOJ) hiking interest rates for the first time since 2007, doing away with negative interest rates in the process. It’s now over to the Fed to drive the price action over the remainder of the week.

Japan's core CPI didn't fall below the BOJ's 2% target, although it did match it. Which has seen AUD/JPY and USD/JPY retrace further from their highs in light of yen strength.

Open interest has fallen notably on USD/JPY since its failed ‘bid’ for spot prices to break and hold above 150. And that further suggests a glass ceiling for prices. Japanese yen futures also saw grow longs increase by 19.6%, although traders remained heavily net-short.

It’s been a big week for global markets and it’s not over yet, with the Bank of Japan rate decision scheduled for later today.

With EUR/JPY and GBP/JPY testing critical support, price action over the next 30 hours will go a long way toward determining if the year-to-date trends extend or end from here...

The USD/JPY breakout has continued even after an intervention threat, but both EUR/JPY and GBP/JPY have shown stall in those bullish trends over the past month, raising questions of reversal potential.

See why the Japanese yen could be the big beneficiary from a bout of risk aversion stemming from concerns about the US financial system.

USD/JPY's price action this week is providing a strong signal given the yen's usually bullish seasonal backdrop.

A fiat currency is a monetary instrument backed by a national government like the British pound or Canadian dollar. Learn how fiat currencies operate and how they compare to other types of money.

Swiss inflation kicks of economic data today, where a hot print could increase expectations of another 50bp hike from the SNB.

The US CPI report is now THE single economic release with the largest expected market movement, so traders should absolutely have this release marked with the bullet on their calendars.

The January Consumer Confidence report is a reminder that the US economy is like a rollercoaster ride, full of ups and downs.

Speculation that the BOJ will be forced to step away from their ultra-loose monetary policy has only intensified with producer prices reverting back to double digits.

The British pound has been used as England’s central currency for over a thousand years. Read about its evolution from a coin literally weighing one pound to the banknotes common today. We also rank the next three oldest major currencies: the yen, ruble and dollar.

There’s only one problem with the Fed pivot narrative: Traders aren’t buying it (yet, at least)!